Posted on 04/17/2023 1:31:59 AM PDT by CFW
Did you know that central banks bought more gold last year than any year in the past 55 years—since 1967? Though most don’t realize it, 1967 was a significant year in financial history, mainly due to the events at the London Gold Pool.
The London Gold Pool was an agreement among central banks of the United States and Western European countries to stabilize the price of gold. The goal was to maintain the price of gold at $35 per ounce by collectively buying or selling gold as needed.
However, in 1967 the London Gold Pool collapsed due to a shortage of gold and increased demand for the metal. That’s because European central banks bought massive amounts of gold as they began to doubt the US government’s promise to back the dollar to gold at $35/ounce. The buying depleted the London Gold Pool’s reserves and pushed the price of gold higher.
In short, 1967 was the beginning of the end of the Bretton Woods international monetary system that had been in place since the end of World War 2. It ultimately led to severing the US dollar’s last link to gold in 1971. The dollar has been unbacked fiat confetti ever since—though the petrodollar system and coercion have propped it up.
The point is large global gold flows can be a sign that a paradigm shift in the international monetary system is imminent.
(Excerpt) Read more at discernreport.com ...
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Most at FR have seen this coming for years.
Protection of the Petrodollar was the real reason Bush went after Sadam Hussain.
Which one? Or both?
That makes sense.
Interest rates will be a strong indicator, because the US will now have to sell its debt for market interest rates instead of the favourable ones they’ve enjoyed for the past 40 years.
“Most at FR have seen this coming for years.”
Most have seen it coming and have watched as we moved closer and closer to this point.
However, some have a bad case of normalcy bias and refuse to admit what is staring them in the face. I make it a point to check each day for news on the BRICS nations. The jockeying for position by BRICS nations and the countries that wish to join them is another something to keep an eye on.
Bkmk
Slowly.
Then quickly.
And Hillary went after Gaddafi for trying to create an African currency. Wonder where all his gold went?
“… the US will now have to sell its debt for market interest rates …”
Then payment of interest explodes, followed by debt repudiation and hyperinflation. I’ve read this book before.
It will be like a South American country with $10 million dollar bills.
I am convinced the forced collapse of the petroleum dollar is what the whole “green” effort to eliminate fossil fuels in general and oil in particular. It is also the motivating force behind the ev movement and banning combustion engines.
Correct.
Also the Petrorouble
In a practical sense the Saudis have already broken the petrodollar monopoly by agreeing to trade oil to China for yuan. Expect the rest of OPEC to follow suit, as. Biden has given them no reason to buck the tide, and good reasons exist to go with the flow.
The author is very far behind the times. He is extrapolating past circumstances that are no longer really valid
The Chinese banking system is barely there. The banks in China are failing from so much bad debt that the result is literally incalculable.
At Present China has no banking system and therefore no petro yuan that is woth a damn
The author is very far behind the times. He is extrapolating past circumstances that are no longer really valid
The Chinese banking system is barely there. The banks in China are failing from so much bad debt that the result is literally incalculable.
At Present China has no banking system and therefore no petro yuan that is woth a damn
“At 1:00 a.m. on Monday, March 6, President Roosevelt issued Proclamation 2039 ordering the suspension of all banking transactions, effective immediately. He had taken the oath of office only thirty-six hours earlier.
The terms of the presidential proclamation specified that “no such banking institution or branch shall pay out, export, earmark, or permit the withdrawal or transfer in any manner or by any device whatsoever, of any gold or silver coin or bullion or currency or take any other action which might facilitate the hoarding thereof; nor shall any such banking institution or branch pay out deposits, make loans or discounts, deal in foreign exchange, transfer credits from the United States to any place abroad, or transact any other banking business whatsoever.”
For an entire week, Americans would have no access to banks or banking services. They could not withdraw or transfer their money, nor could they make deposits.”
https://www.federalreservehistory.org/essays/bank-holiday-of-1933
“Reserve Banks were required to maintain gold reserves equal to 40 percent of the paper currency they issued, but foreign and domestic holders of US currency were rapidly losing faith in paper money and were redeeming dollars at an alarming rate.”
“At one point, Treasury officials seriously considered issuing large amounts of government scrip as an emergency substitute to take the place of cash. They even went so far as to print $10 million worth, but in the end Treasury Secretary William Woodin backed away from the plan, primarily out of concern that the public would not accept scrip at face value.”
“Instead he decided to ‘issue currency against the sound assets of the banks [as opposed to issuing currency against gold]. The Federal Reserve Act lets us print all we’ll need. And it won’t frighten the people. It won’t look like stage money. It’ll be money that looks like real money’”
Yes. And I think China is behind it all, instigating it.
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